Summary

AT&T is different from Vodafone in the objectives and the roadmap for femtocells.  Vodafone is deploying femtocell-based service; AT&T is defending market share and future presence in homes. 

Analysis

AT&T has to be differentiated from other operators for femtocells.  Vodafone is making a bold initiative for mobile coverage by launching femtocell-based service.  Competition, coverage, and customer satisfaction are the goals.  The same might be expected of Verizon in the U.S. market before the LTE build out.  Verizon will be able to evaluate how its partner Vodafone does for deployment in footprint without having fixed line.  AT&T is not launching femtocell-based service.  AT&T’s deployment is a reactionary tactic instead of network advancement. 

AT&T is defending its consolidation of consumer landline and mobility into the new entity of AT&T Mobility and Consumer Markets.  The new AT&T’s headcount and hierarchy is excessive.  Femtocells are an attempt to justify combining the former business units of Cingular Wireless and SBC home wireline.  The landline staff is grasping at anything in wireless regardless of the traction or scale .  An example is that AT&T's Vice President of Video Services announced a TV Remote Access for U-verse customers at the Apple Store.  AT&T’s one million U-verse customers are insignificant compared to almost 80 million mobile customers.  In a prior week, an AT&T Vice President of Converged Services announced the Send-to-Mobile feature with the statement about “integration emerging as a transformational force”.  The three-screen sharing might be illusory as customers focus on price and coverage.  AT&T views femtocells as a selling opportunity.  The year-end “transformation” might be that customers evaluate carriers on whether a femtocell option is available and if it lowers the monthly bill.    

Gregg Kail, MBA consults with leading institutions through GLG

Gregg Kail, MBA, Reseller Manager
Gregg Kail

What is a GLG Leader?|GLG Leaders are a separate tier of Council Members with a Council Rank in the top 5%. These GLG Member Program participants are eligible for ongoing, in-depth consultative relationships with GLG clients.

FormerReseller Manager, AT&T CORP.

 
Analyses are solely the work of the authors and have not been edited or endorsed by GLG.